Monday, April 12, 2010
Fair Finance Trustee Sues Laikin For $20 Million
DCI Investments is a Tim Durham-controlled company which received more than $20 million from Fair Finance, which in turn loaned the money to purchase real estate in Los Angeles for Dan Laikin, an investor in DCI Investments. No security interest was ever perfected in the loans made to Laikin, who is now facing sentencing for insider trading in connection with his role running National Lampoon, another Durham-controlled company. The bankruptcy trustee for Fair Finance has initiated a lawsuit against Laikin to recover the $20 million DCI Investments loaned him. The trustee seeks to impose a constructive trust on the real estate acquired with the funds in favor of Fair Finance. It is interesting to note that federal prosecutors in Pennsylvania have repeatedly delayed the sentencing of Laikin, which suggests they may be seeking his assistance in their case of insider trading against Durham and others. Laikin is the brother of Robert Laikin, CEO of Indianapolis-based Brightpoint.